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Latest news on the feed-in-tariff
How do the Feed-in-Tariff changes affect me?
If you install and register your panels before March 3rd 2012
Currently, the FiT tariff has returned to its original rates for all installations before March 3rd 2012. These rates will be applicable for the full 25 years eligibility period of your installation. (As of April 1st, these rates will increase to 45.4p/kWh in line with the RPI) However, if the Government submits an appeal to the Supreme Court, it is likely the lower FIT rate of 21p kW will apply to your installation from 1st April 2012, and you will only receive the 43.3p kW for your generation output before 1st April 2012. The Government only have until 21st February 2012 to lodge their appeal.
If you install and register your panels between 3rd – 31st March 2012
The government has confirmed that the rate of 21p kW announced as part of the consultation in December 2011 will apply to installations registered between 3rd and 31st March 2012. This means you will receive 43.3p kW from 3rd to the 31st March 2012, but this will reduce to 21p kW on 1st April 2012 for the remainder of the 25 year eligibility period of your installation.
If you install and register your panels on or after 1st April 2012
For installations post April 1st 2012, the rate will be 21p/kW but your property much be EPC level D before you can claim.
It is likely that the rates will be cut again in July 2012
09/02/2012 - FIT Rates increase with inflation
The first increase of the feed-in-tariff in line with the Retail Price Index (RPI) figures have been announced by Ofgem. Current tariffs have been increased by 4.8% in line with inflation.
Those lucky enough to have their installations before March 3rd will receive 45.4p/kWh for the full 25 years. The export tariff has also increased to 3.1p These rates will come into effect as of April 1st 2012.
Those installed between March 3rd and April 1st will receive 45.4p/kWh until April 1st, when the rate will drop to 21p.
Itis important that ALL existing generators take a meter reading on 31 March 2012 so their correct feed-in-tariff payment to be calculated by FIT Licenceesbefore April 1st. If meter readings are not provided, fees will be estimated and you could receive the lower rate.
Going forward, it is possible that the feed in tariff rates will change from being RPI linked to Consumer Price Index (CPI) linked, however this is not yet decided.
09/02/2012 - Future of FIT
The Government released the results of the consultation today confirming that the tariff for isntallations after April 1st 2012 will be 21p/kW. It also revealed that there could be further cuts throughout the course of 2012, depending on the volume of claims. Read the full story here.
01/02/2012 - REAL issues advice to consumers and installers
The advice from REAL is that at this time solar PV is sold on the basis that, for an installation that takes place between 12 December 2011 and 2 March 2012, a consumer will get 43.3p/kWh for generation that takes place before 31 March 2012 and 21p for generation that takes place thereafter. It might be that a consumer who installs between these dates will end up getting 43.3p/kWh for the whole 25 years but this is far from certain at the moment and this expectation must not be the basis for any sale. Read the REAL statement
26/01/2012 - DECC to annouce new FIT rates on 9th February
Energy and Climate Change Secretary Chris Huhne has today revealed that a document will be released on FIT rates moving forward.
He has stated that A rate of 21p/kWh will be applied to installations post March 3rd 2012 and will come into effect as of April 1st. After April 1st he has hinted that the FIT rate could drop even lower, but further details are to be announce on February 9th.
Mr Huhne also said the reason behind the appeal is that the DECC "want to maximise the number of installations possible withing the available budget for FITs, rather than use available money to pay a higher tariff to half the number of installations."
Read the full story regaridng The release of new FIT rates on the 9th February.
Freesource Energy are already seeing increased demand for installations. Call us now on 0800 1313 161 to secure an installation slot.
25/01/2012 - Supreme Court not yet decided on whether the Goverments case meets critera
The Supreme Court has now announced that it could take up to a year to be heard.
The Supreme Court have not yet decided whether the Government's case meets their criteria but have warned that this process could take several weeks.
Freesource Energy and other industry leaders still feel this is a delaying tactic and would like to urge the Government not to proceed with the appeal as it will only increase the uncertainty around the feed-in-tariff rates.
25/01/2012 - DECC seeks permission to appeal to Supreme Court
The DECC has now announced that it is seeking permission to appeal to the Supreme Court.
Freesource Energy believe this is a delaying tactic and is uging customers to go ahead with an installation as soon as they can rather than wait for the outcome.
As it stands today, the feed-in-tariff rate has returned to the higher tariff of 43.3p/kWh for <4kW PV systems.
If the Goverments appeal to the Supreme Court is heard and the Government loses the rate will remain at 43.3p/kWh until March 3rd 2012, if they win they it will drop back to 21p/kWh until a further review in April 2012.
25/01/2012 - High Courts rules FIT change unlawful
It has been announced today that the Government have been denied the challenge to appeal against the High Court's ruling the the December changes to the solar feed-in-tariff was "unlawful".
This announcement means that the feed-in-tariff rate resumes to 43.3p/kWh for all <4kWh PV systems installed until March 3rd, 2012. This includes systems that have already been installed.
It is still unclear whether the Government will take further legal action and appeal to the Supreme Court.
19/01/2012 - Government publishes part of the comprehensive review
Following calls from the industry to clarify the level of Feed-in-Tariff, the Government has published its response to part of the Comprehensive Review Phase 1 and revealed its contingency plan/draft licence modifications should they lose the court battle to uphold proposed cuts to the feed in tariff.
In essence, the review and contingency plan confirms that regardless of whether the Government wins or loses its court appeal, domestic customers will get a minimum of 21p per KWh for 25 years for systems installed between 12 December 2011 and 31 March 2012.
If the Government loses the appeal the draft licence modifications are likely be imposed which will see the feed-in-tariff continue at the rate of 43.3p per kWh but only for installation up to 3rd of March when the rate will reduce to 21p per kWh.
The government is expected to announce the full outcome of the comprehensive review on the 9th February accompanied by a set of reforms proposals for the second review phase of the FiT scheme, which will be subject to a further consultation.
“I know this is a difficult time for the sector and I want to do as much as I can to end the current uncertainty created by the legal challenge. We must reduce the level of FITs for solar panels as quickly as possible, to protect consumer bills and avoid a bust up in he who Feed-in-Tariff budget.” says Energy and Climate Minister Greg Barker.
Read the written ministerial statement on solar PV feed-in tariffs in full.
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